If you are in the twilight of your career, you’ve most likely given thought to what retirement would look like for you and your loved ones. Many think about the possibility of selling off assets, downsizing and simplifying, and choosing a place to settle where the weather is warm and prices are reasonable.
Florida or South Carolina: The Debate Begins
South Carolina and Florida rank as top destinations for baby boomers looking to find the ideal retirement location, though choosing your next residence takes a bit of time and forethought. Consider these factors as you look at these balmy states.
Your Budget
Many of us have been putting aside a portion of our lifetime wages to prepare for the day that we will no longer be working. Whether you have cash rolling in or if you are on a fixed budget, doing some number crunching will give you a good idea of where the cost of living would work best for you.
It is currently estimated that the average American needs at least $1 million in retirement assets to retire comfortably. The current cost of living for a twenty-year time span in Florida totals around $1.2 million, while the same amount of time in South Carolina requires $967,000. If budget is your primary factor, then South Carolina would be a strong contender for a retirement location.
Tax Needs
Certain states are better than others at providing tax breaks to their residents. Florida pulls ahead in this area, as they do not charge their residents state income tax. This tax-free residency allows you to keep more money coming from a part-time job, retirement fund, or pension in your pocket. South Carolina, on the other hand, does charge its residents both state and federal taxes. Both states have modest sales and property taxes, making them more affordable than other states.
Health Care Needs
A major concern for many over 65 is quality health care. Looking at various healthcare systems and institutions in your preferred state will give you a good idea of what is available to you for care.
Florida is infamous for having state-of-the-art healthcare institutions across the state. Both primary and specialty care centers are found in cities from Clearwater to Miami and beyond; these centers are focused on meeting the needs of Florida’s aging population.
South Carolina also has a number of reputable hospitals and clinics, but it is a bit more challenging to get quality healthcare in rural parts of the state. Doing a bit of research beforehand will allow you to make informed choices on relocating based on your healthcare needs.
Population
According to recent statistics on state populations, Florida was tipping the scales with nearly 21 million people. South Carolina seems like small potatoes with a total population of just over 5 million people. If you are someone who likes to be surrounded by a community of like-minded people with interests similar to yours, Florida might be the better place to be with its established communities of retirees, senior citizens, and densely populated areas.
On the other hand, if you are looking for more space and the opportunity to lay the groundwork for some thriving retirement communities, consider South Carolina as the perfect pioneering choice for your experienced and adventurous spirit.
Real Estate Prices
Will you rent or buy as you retire? What’s your budget for housing look like? What kind of residence are you looking for? Choosing a place to live is one of the most significant decisions you’ll make when entering retirement, and making your money work for you to purchase what you need is an essential part of buying the right home.
Median prices for Florida retirement homes range from $100-$350K, depending on the size and amenities needed. South Carolina prices are comparable to those found in Florida, and many of these homes and communities are tailored to cater to the needs of senior citizens. Take into account factors such as property tax and association fees when choosing the home that best suits you in your golden years. You can read this article for some more pros and cons of retiring in South Carolina.
Climate and Weather
Both South Carolina and Florida burst with bright, year-round sunshine, boasting hot and sultry summers and mild winters. One benefit of both states is a climate that encourages a great deal of outdoor activity with very little need to tote a snow shovel. Both states are prone to stormy hurricane seasons, so making sure you’re prepared to deal with that kind of dramatic weather activity will most certainly be a factor in where you choose to settle.
Exciting Choices, Exciting Times Ahead
As you consider pulling up old roots and setting down new ones, take all of these factors into account when choosing which sunshine state is best for you and your loved ones. You have exciting times ahead, with new experiences and new people that will enrich your life in ways that you never thought possible.
